SG/KL NDR: CJ CheilJedang

CJ CheilJedang IR

Mar 2019

This financial information in this document is consolidated earnings results based on K-IFRS. This document is provided for the convenience of investors only, before the external audit on our 2018 financial results is completed. The audit outcomes may cause some parts of this document to change. Contents

I. Company Overview Pg.3

II. Key highlights Pg. 6

III. Food Pg. 7

IV. BIO Pg. 17

V. Feed & Livestock Pg. 24

VI. Appendix Pg. 28

2 I. Company Overview

Shareholders’ Stake Revenue Mix (2018)

W10.2tn Others 19.9% Feed & CJ Treasury Stocks Livestock Processed Food Corp 21% 2.4% 44.6% 34% National Pension Bio Service 27% 12.5% Foodstuff 18% Foreign Investor 19.8% Jayhyun Lee & related parties * As of 31 Dec, 2018 0.9% * Excluding CJ Healthcare, CJ Logistics

Snapshot (Dec 2018) OP Mix (2018)

 Outstanding Shares 15,054,186 shares W605bn Feed & Livestock  Market Cap KRW 4,975bn 9% Bio 32% Food  3M Daily Trading Value KRW12.1bn 59%

 Foreign Investor Stake 19.8%

* As of 31 Dec, 2018 * Excluding CJ Healthcare, CJ Logistics

3 I. Company Overview CJ Group Holding Structure

CJ Corp.

47.1% 44.6% 55.0% 96.0% 40.1% 39.0% CJCJ CJ Freshway CJ OliveNetworks CJ Foodville CJ ENM CJ CGV ( 357,298 /2.4%)

40.2% 46.5% 71.3% 53.9%

CJ Logistics CJ Seafood CJ Hello

4 I. Company Overview

History Globalization

Founded CheilJedang Corp. (the first 1953 Overseas sales account for 44% of total manufacturing business of Group) revenue of W10.2tn (2018) Commenced Animal Feed business 1970s Launched Dasida, No.1 seasoning brand Overseas Domestic Commenced Pharmaceutical business 44% 1980s Constructed first lysine plant in 56%

1993 Separated from Samsung Group

Began overseas Animal Feed business in 1990s SE Asia * Excluding CJ Logistics, CJ Healthcare 2000~ Spun off non-core divisions Overseas Sales Portion by Division 2006 while strengthening core biz by acquisitions 97% Spun off from CJ Corp 2007 74%

2011 Acquired CJ Logistics

Separation of managements and executives in 20% 2017 Food and Bio biz / Acquired Selecta 4%

Processed Food Foodstuff Bio Feed & 2018 Disposal of CJ Healthcare Livestock * Overseas revenue excludes exports from Korea 5 II. Key highlights

Sales breakdown: Food 52%, Bio 48% (Excl. CJ Logistics, CJ Healthcare) Diversified business portfolio with stable margins

Revenue Profitability

Processed Food Foodstuff Bio (Unit: W 100mn) 29.3% Feed & Livestock Healthcare 28.8% 28.3% 102,753 26.7% 26.8% 2013~2018 CAGR: 9% 98,852 1% 25.4% GPM 5% 89,413 21% 6% 81,522 21% 6% 72,100 73,658 23% 6% 6% 22% 26% 21% 22% 22% 20% 21% 20% 20% 18% 20% 9.2% 21% 22% 7.2% 7.0% NPM 24% 24% 5.9% 5.6% 4.8% OPM 33% 3.4% 31% 32% 2.2% 2.5% 6.0% 28% 29% 1.2% 28% 3.9%

2013 2014 2015 2016 2017 2018 2013 2014 2015 2016 2017 2018 * Changes in accounting reflected from 2017, refer to P.29 6 III. Food Division 1) Overview Resilient top line led by Process food’s double-digit growth Stable margin thanks to greater contribution from Processed Food

Annual Sales Trend Operating Profit and OPM (Unit: W bn) (Unit: W bn) 8% 8% 8% Foodstuff Processed Food 7% 7% 6% 2013~2018 CAGR 363 Processed Food: 11% 349 352 358 Foodstuff: 1% 322 1,834 1,961 1,870 222 1,782 1,749 1,742

3,438 3,129 2,742 2,368 2,019 2,098

2013 2014 2015 2016 2017 2018 2013 2014 2015 2016 2017 2018

* Changes in accounting reflected from 2017, refer to P.29 7 III. Food Division: Processed Food 2) Product Portfolio Diversified product categories from condiments to Ready Meals Solid growth driven from both domestic and overseas business

Diversified Portfolio Revenue Breakdown

13% Others (Unit: W bn)

7% Paste Overseas 675 5yr CAGR 10% Seasoning/Sauce 27% 509 Microwavable 10% Rice 391 255 10% Fresh/Sea Food 207 203 Domestic 13% Frozen 3,438 5yr CAGR Food 3,129 12% 2,742 2,368 2,084 Processed 1,932 18% Meat

20% Global (US, , , Russia, etc) 2013 2014 2015 2016 2017 2018 * Changes in accounting reflected from 2017, refer to P.29

* % of Processed Food revenue (2018) 8 III. Food Division: Processed Food 3) Domestic Business Dominant No.1 player in Korean food industry from strong brand awareness and exquisite cuisines

Market Presence Key Product M/S Trend

80% Seasoning 78% “Revenue From Processed Food” 74% (Unit: W tn) 56% 3.1 Microwavable 65% Rice 2.4 52% 2.2 2.2 2.2 51% 2.0

1.5 Red Pepper Paste47% 45% Soybean Paste 46% 37% Canned Ham 45%

25% Dumpling 22% Cooked Frozen 18%

Kimchi 10%

2013 2014 2015 2016 2017 2018 * Linkaztec * As of 2017 9 III. Food Division: Processed Food 4) Ready Meal Market leader in ‘Ready Meals’ seeking for the tastiest, the healthiest and the most convenient choices

[ Single Person Household Trend in Korea]

2500 30% 33% 35% 27% 30% Micro- 2000 24% wavable 20% 25% 1500 16% 20% Rice 15% 1000

10%

500 607 720 5% 319 417 518 0 226 0% Side 2000 2005 2010 2015 2020 2030 Dish Total household(10K) Single person household % of Single person household

[ Ready Meal Growth (two-year average ‘17~’18) ] Soup/ 316% Stew

112% 43% 41%

Etc Cupbahn Frozen meal Side dish Soup/Stew [ Ready Meal Market Size ] - Broadly defined market: W 3.1 tn, 18.8% (‘15~’18 CAGR) - CJCJ defined revenue: W 352 bn, 122% (‘15~’18 CAGR) 10 III. Food Division: Processed Food 5) CJ Blossom Campus Established new factory, CJ Blossom Campus to address growing demand

 Location 330,000sqm in Songdu Industrial complex, Jincheon, Chungcheongbuk-do

 CAPA : W1.2tr (As of 2025) / Investment W902bn

Capacity Products Notes

85,700 tons by 2019 Hetbahn, Cooked Frozen Ph.1 Commence production in Nov 2018 112,000 tons by 2025 Processed Meat

55,200 tons by 2019 Ph.2 Ready meal, Kimchi, Frozen Pizza Commence production in 2H19 94,900 tons by 2025

11 III. Food Division: Processed Food 5) CJ Blossom Campus “World-Class Automated Factory” to reinforce productivity and improve cost efficiency

 Expected effects . Launch market oriented products through integrated module system - Modularized equipment allow production shifts among different categories . Minimize operation risk with utmost productivity through centralized digital control system - Digitalize and manage every process and information on real time basis . Enhance cost efficiency through intensive automation, savings in utilities and decrease in defective rate

Automation rate1) +25~35% Utility Expense -30% OEE +10% (Overall Equipment Effectiveness)

[ Hetbahn ] Existing factory/OEM New factory 100% 95% 72% 82%

Automation rate Energy OEE

1) Automation rate : number of automated(no labors) manufacturing phases / total number of manufacturing phases 2) OEE : Availability(time spent on operation) X Performance(speed of work done) X Quality(percentage of good products) 12 III. Food Division: Processed Food 6) Overseas Business Overseas revenue grew 33% YoY at W675bn in 2018 exceeding 20% of Processed Food’s sales

W 365bn W 191bn W 92bn (54% of Global revenue) (28% of Global revenue) (14% of Global revenue) US China Vietnam ( Wrap food, Ready Meal, Noddle, Sauce) ( Wrap Food, Seasoning/sauce, HMR ) ( Wrap food, Kimchi, fishery products)

- Addressing demand growth of local - Streamlined both products and - Exceeded full capacity due to robust market channels in terms of profitability and demand growth efficiency - Settling a global exporting ground by - Aiming to penetrate into mainstream employing geological advantages - Strengthening frozen food categories channels through M&A (raw material, human resource and online channel exposure availiability)

13 III. Food Division: Processed Food 6) Overseas Business 20 manufacturing facilities in US, China, Vietnam, Russia, etc Global revenue accounts for 20% of total Processed Food revenue

Products: Pelmeni (Russian dumping) Russia Products: Beef Roll, Sauce (1) Germany Products: Chinese pickle, Wrap food, (1) Seasoning, Tofu, etc. China US (6) (6) Japan (1) Products: Wrap Food, Noodle, Sauce, Products: Kimchi, etc. Paste, Seaweed, etc. Vietnam (4) Products: Wrap Food, Fishball, Kimchi, etc. Indonesia (1) Products: Premix ’13 Sales W291bn ‘18 Sales W675bn Russia Europe 1% 1% Vietnam Others 3% 14% China China US 11% China US 28% 28% 54% Subsidiaries 87% Joint Venture

* Overseas revenue excludes exports from Korea 14 III. Food Division: Foodstuff 7) Product Portfolio and Market Share Managing market volatility by product diversification and cost leadership Assuring perpetual cash inflow with minimal capital expenditure

Foodstuff Product Portfolio Key Products’ Market Share 2% Trading 4% Global (Vietnam, China) 84% 8% Starch 72% 43%

36% Cooking Oil Sugar Flour Cooking Oil

* Linkaztec, as of 2018, B2C only, Based on revenue

46% 22% Flour 40% 27% 14%

27% Sugar Sugar Flour Cooking oil Starch

* CJCJ, as of 2017, B2C+B2B, Based on sales volume

* % of Foodstuff revenue (2018) 15 III. Food Division 8) Schwan’s M&A

Acquired 70% stake in Schwan's valued at $2.18bn (EV) CJCJ to inject $1.18bn excluding $500mn from acquisition financing

Revenue Breakdown (2017) Acquisition Rationale of Schwan’s

Revenue by Revenue by Business Product Brand Power

Others 7% . [B2C]: Frozen pizza No.2/Pie No.1/Asian appetizer No. 1 Others Home 23% Consumer . [B2B]: Pizza No.1/ Appetizer No.1 Pizza Servic e Brands Appetizers 48% 31% 41% 11% Food Diverse Distribution Channels Servic Pies e 18% 21% . [B2C]: Nationwide distribution through major US retailers 30K orders in key channels (Walmart, Kroger, etc.) vs. 3K orders for CJ America . [B2B] Diversified B2B channels, based on long-term contracts

Nationwide Infrastructure

. 17 manufacturing Facilities (50+ production lines, 380kt production capacity) . Expertise in raw material sourcing (cheese, butter, wheat, pork) . Proprietary DSD network (competitive in managing distribution channels/stores) . Nationwide logistics infrastructure (10 distribution centers, 33 DSD facilities) 16 IV. BIO 1) Overview

Robust revenue growth (13% CAGR in 2013~2018) and stable margins based on CJCJ’s key competitiveness: ① diversified product portfolio, ② global production base, ③ R&D technology

Annual Sales and OPM Key Competitiveness •Global manufacturing facilities and sales (Unit: W bn) 8% 8% 6% 7% network - 11 manufacturing facilities worldwide 3% 2% 2,716 - Competitive logistic fee vs. peers - Stable sourcing of low raw material cost

2013~2018 CAGR: 13% 2,168 Competitive Location 1,802 1,740

1,473 1,478 Global No. 1 Green Bio Co.

Diversified R&D Portfolio Technology

•Diversified portfolio •Microbial fermentation - 10+ amino acids/products R&D technology 2013 2014 2015 2016 2017 2018 - Lysine sales portion - Compatible production * Changes in accounting reflected from 2017, refer to P.29 (58% in 2013  31% in 2018) - Holds over 1,000 patents 17 IV. BIO 2) Competitiveness: i) Diversified Portfolio Stable earnings on the back of improving product mix Less swing in margins thanks to lower lysine (single product) exposure

Diversified product portfolio ...... with lower lysine exposure &stable OPM

8.0% 7.9% 15 6.3% 14 3.0% 7.1% 1.6%

8 58% 53% 44% 45% 38% 4 31% Bio OP Margin Lysine revenue portion

2009 2015 2018 2019 (E) 2013 2014 2015 2016 2017 2018

18 IV. BIO 2) Competitiveness: i) Diversified Portfolio Diversified product portfolio

Type Launch Date Product Function Market size (ton)

1963 MSG 3,300,000 Flavor enhancement 1977 Nucleotide 60,000

Food 2013 Valine 25,000 Additive

2013 Arginine Muscle metabolism, tissue repair 10,000 Cell division, wound healing 2016 FGA and others (3) Detoxification for skin - Immune enhancement 2009 Lysine 2,500,000

2009 Threonine 600,000

Feed 2010 Tryptophan Immune enhancement 40,000 Additive Promote muscle growth 2015 Methionine 1,300,000

2017 SPC and related products (3) Improve nutritional values -

19 IV. BIO 2) Competitiveness: ii) Global Manufacturing Footprints

11 manufacturing facilities worldwide(China, Indonesia, Vietnam, Brazil, Malaysia, US) Improved profitability through optimized sales allocation and compatible production

Lysine, Valine, Arginine, US China Threonine, Tryptophan, (1) (4) Cysteine, Nucleotide, SPC Lysine, Threonine, Tryptophan, Valine

Malaysia Methionine (1) Vietnam SPC Brazil (1) (2) Indonesia Lysine, Tryptophan, MSG, (2) Valine, Arginine, Nucleotide Lysine, SPC ’13 Sales W1.4tn ‘18 Sales W2.7tn Others Malaysia US 7% Brazil 4% 5% 8% EU Brazil China 15% 32% EU 21% 39% US China 15% Indonesia 27% 26%

* Region breakdown based on manufacturing location (not end-customer) 20 IV. BIO 2) Competitiveness: iii) R&D Technology Strong microbial fermentation R&D technology •Compatible production of different amino acids (Tryptophan, Arginine, Valine) and easy shift in raw materials (raw sugar ↔ glucose, starch sugar, glycerin) •Possesses more than 1,000 patents globally Bio Process Intellectual Property Rights

Strain Development Bio process innovation and product development based on R&D platform

1 World’s best amino acid fermentation tech

-55 yrs. of large-scale, commercial fermentation tech

Key Key Competence 2 Microbial fermentation process capability Microbial -Process control using stable raw materials Factory

① Cost competitiveness through development of new technology

② Total solution with reinforced technical marketing

Fermentation Process Refining Process 21 IV. BIO 3) Global No. 1 Bio Company

Global No.1 player in both feed additive (Lysine & Tryptophan) and food additive (Nucleotide & Valine)

Tryptophan Lysine Others Others FuFeng 9% 35% 25% 8% 53% JuLog 11%

Eppen 12%

Ajinomoto ADM GBT Ajinomoto 19% 8% 10% 10% Nucleotide Valine Starlake Others Others Meihua 8% 3% 5% 13% Ajinomoto Meihua 55% 17% 65% 13%

Ajinomoto 21% 22 IV. BIO 3) Global No. 1 Bio Company

Dominant position in key amino acid markets

Market Share of Major Products Lysine Market Share Trends

Nucleotide Tryptophan Valine CJCJ AJI GBT ADM Eppen 30% 65%

25%

55% 20% 52% 50% 50% 15% 53% 46% 47% 10%

39% 5%

0% 2016 2017 2018 2019E 2005 2007 2009 2011 2013 2015 2017

* CJCJ’s estimates * CJCJ’s estimates

23 V. Feed & Livestock 1) Overview

Solid revenue growth (7% CAGR in 2013~2018) by expanding into both emerging countries and livestock business

Annual Sales and OPM Revenue by Business

(Unit: W bn) Total revenue W2.2tn (2018) 3% 2% 3% 3% 2% -1% Livestock 2013~2018 CAGR: 7% 31% Animal Feed 2,173 2,113 69% 2,013 1,805 1,618 1,549 Revenue by region % Of Livestock Revenue

13% 29% 33% 46% 31% 19% 87% 71% 67% 69% 54% 81%

Domestic Indonesia Vietnam China 2013 2018 2013 2014 2015 2016 2017 2018 Animal Feed Livestock Animal Feed Livestock * Changes in accounting reflected from 2017, refer to P.29 24 V. Feed & Livestock 1) Overview Stable revenue growth on the back of diversifying regional footprints Within top 6 in Indonesia, Vietnam feed market

Revenue by Region Global Feed M/S

Total revenue W2.2tn (2018) Indonesia Chicken Feed M/S1)

Domestic 26% 41% 26% Overseas 8% 74% 25%

CP Japfa CJCJ Others

Vietnam Hog Feed M/S1) Revenue growth rate by region

24% 38%

14% 9% 8% 6% 6% 8% 2% 7%8% Domestic Indonesia Vietnam China CP Cargil Greenfeed 13 ~ '18 CAGR De Hues Proconco CJCJ

1) M/S based on sales volume of 2017 25 V. Feed & Livestock 2) Mid, Long-term Strategy Focusing on improving profitability and strengthening business fundamentals by expanding vertical integration, diversifying product portfolios and channels

Indonesia Vietnam Other EM Market

•High margin product and •Proactively increase breeding hog •Diversifying feed product portfolio, channel expansion CAPA, vertical integration rate expansion of livestock business  Improve profitability  Growth & Profitability (China, , Cambodia etc.) High Margin Channel weight Vertical Integration Rate Hog, Chicken Feed focus biz (%) (%) 51

37 70 72 63

44 Feed Feed 0

2017 2018 2019 (E) 2016 2017 2018 2019 (E)

High Margin Product CAPA Breeding Hog CAPA Adding up feed product lineup (K Ton) Expanding to livestock biz (K Ton) 98 90 73 69 61 53 Farm 47 Feed Feed Feed Feed 28

2016 2017 2018 2019 (E) 2016 2017 2018 2019 (E) 26 V. Feed & Livestock 3) Overseas Business 25 feed manufacturing facilities in Indonesia, Vietnam, China, etc Global revenue accounts for 74% of total Feed & Livestock’s revenue

’13 Sales W1.0tn ‘18 Sales W1.6tn Philipines Combodia Philippines 7% China 18% 5% 2% China Indonesia Vietnam China 51% 15% Indonesia 24% (12) 48% Vietnam 30% Cambodia Vietnam (1) (4) Main Product: Hog feed, Hog Myanmar Philippines (1) (1)

Indonesia (6) Main Product: Chicken feed, Chicken

Animal Feed & Livestock Animal Feed

27 VI. Appendix 1) CJ Healthcare Disposal of CJ Healthcare business

1) Improve financial structure - Repayment of maturing debt worth W440bn in April - To repay additional debt worth W200bn maturing in September 2) Funding for potential M&A

Details Deal Structure

- Disposal Date: April 18, 2018 - Disposal price: W1.31tn 100% stake of CJ Healthcare - Cash inflow: W1tn

CJCJ Kolmar Korea Post tax

W1.31tn - Disposal gain: W1tn CJ Healthcare book value W247.5bn - Others 100% CJ Healthcare Dividend income from CJ Healthcare (W121bn)

28 VI. Appendix 2) Cost Reallocation HQ overhead costs reclassified reflecting the recent organizational changes ; HQ staff reallocated to each business unit Subtle overhead cost among business divisions became easier to track thanks to the recent ERP upgrade

⇒ Total revenue and profit unchanged, but slight changes by division

2017 earnings reallocation applied retroactively

Previous Current (Unit: W bn) 1Q17 2Q17 3Q17 4Q17 1Q17 2Q17 3Q17 4Q17 Sales 3,866.5 3,908.9 4,410.7 4,291.1 3,866.5 3,908.9 4,410.7 4,291.1 CJCJ Operating Profit 192.5 164.4 269.3 150.4 192.5 164.4 269.3 150.4 CJCJ Sales 2,276.5 2,195.3 2,539.3 2,360.4 2,276.5 2,195.3 2,539.3 2,360.4 (Excl. CJL/CJHC) Operating Profit 126.1 86.2 190.6 72.0 126.1 86.2 190.6 72.0 Sales 1,321.9 1,180.2 1,448.0 1,160.1 1,320.3 1,176.4 1,439.5 1,154.6 Food Processed Food 782.4 713.3 905.9 737.6 780.7 710.8 903.2 734.7 Division Foodstuff 539.5 466.9 542.1 422.5 539.6 465.6 536.3 419.9 Operating Profit 87.2 54.7 149.3 6.2 99.6 68.5 166.5 28.1 Sales 954.6 1,015.1 1,091.3 1,200.3 956.2 1,018.9 1,099.8 1,205.8 BIO 454.2 470.5 564.5 665.7 454.5 472.3 571.4 669.7 Bio Feed&Livestock 500.4 544.6 526.8 534.6 501.7 546.6 528.4 536.1 Division Operating Profit 38.9 31.5 41.3 65.8 26.5 17.7 24.1 43.9 BIO 37.6 32.4 42.5 67.9 29.9 24.0 30.5 52.2 Feed&Livestock 1.3 -0.9 -1.2 -2.1 -3.4 -6.3 -6.4 -8.3 *K-IFRS 1115 Revenue from Contracts with Customers not applied retroactively 29 VI. Appendix 3) Financial Statement 3-(1). Summary of Income Statement (excluding CJ Logistics)

(Unit: W bn)

2013 2014 2015 2016 2017 2018

Sales 7,210 7,366 8,152 8,941 9,885 10,275

COGS 5,379 5,396 5,805 6,323 7,084 7,525

(%) 74.6% 73.3% 71.2% 70.7% 71.7% 73.2%

Gross Profit 1,831 1,970 2,347 2,619 2,801 2,750

(%) 25.4% 26.7% 28.8% 29.3% 28.3% 26.8%

SG&A 1,485 1,538 1,760 1,994 2,245 2,133

(%) 20.6% 20.9% 21.6% 22.3% 22.7% 20.8%

Operating Profit 347 432 587 625 556 617

(%) 4.8% 5.9% 7.2% 7.0% 5.6% 6.0%

Net Profit 159 88 205 307 385 942

(%) 2.2% 1.2% 2.5% 3.4% 3.9% 9.2%

30 VI. Appendix 3) Financial Statement 3-(2). Summary of Income Statement (including CJ Logistics)

(Unit: W bn)

2013 2014 2015 2016 2017 2018

Sales 10,848 11,702 12,925 14,563 16,477 18,670

COGS 8,770 9,258 10,039 11,275 12,923 15,127

(%) 80.8% 79.1% 77.7% 77.4% 78.4% 81.0%

Gross Profit 2,078 2,443 2,886 3,288 3,555 3,544

(%) 19.2% 20.9% 22.3% 22.6% 21.6% 19.0%

SG&A 1,733 1,864 2,135 2,445 2,778 2,711

(%) 16.0% 15.9% 16.5% 16.8% 16.9% 14.5%

Operating Profit 346 580 751 844 777 833

(%) 3.2% 5.0% 5.8% 5.8% 4.7% 4.5%

Net Profit 71 138 254 354 413 925

(%) 0.7% 1.2% 2.0% 2.4% 2.5% 5.0%

31 VI. Appendix 3) Financial Statement

3-(3). Summary of Balance Sheet (excluding CJ Logistics)

(Unit: W bn) 2013 2014 2015 2016 2017 2018 Current Assets 2,434.7 2,769.7 2,860.5 3,464.0 3,267.9 3,458.3 Quick Assets 1,442.6 1,713.1 1,774.6 2,199.5 1,980.9 1,984.8 Inventory 992.1 1,056.6 1,085.9 1,264.5 1,287.0 1,473.5 Non-Current Assets 6,489.1 6,613.1 6,953.1 7,309.9 7,861.8 9,341.2 Investments 1,629.6 1,604.0 1,611.6 1,489.0 1,181.0 1,952.4 Tangible Assets 4,367.1 4,528.8 4,859.4 5,210.2 5,717.4 6,365.1 Intangible Assets 426.1 426.7 439.3 561.4 913.7 973.1 Other Fixed Assets 66.3 53.6 42.8 49.3 49.7 50.6 Total Assets 8,923.8 9,382.8 9,813.6 10,773.9 11,129.7 12,799.5 Current Liabilities 2,800.5 3,316.0 3,130.4 3,429.8 3,714.1 4,159.6 Non-Current Liabilities 2,885.7 2,725.1 2,987.7 3,351.0 3,345.1 3,093.2 Total Debt 4,125.9 4,356.1 4,277.6 4,801.5 4,894.8 4,922.8 Net Debt 3,716.2 3,903.9 3,705.4 4,133.0 4,379.8 4,502.5 Liability to Equity Ratio 176% 181% 166% 170% 173% 131% Net Liability to Equity Ratio 163% 167% 150% 153% 161% 123% Net Debt to Equity Ratio 115% 117% 100% 104% 108% 81% Total Liabilities 5,686.2 6,041.1 6,118.1 6,780.8 7,059.2 7,252.8 Current Capital 72.1 72.3 72.4 72.4 72.5 81.9 Capital Surplus 895.9 910.2 918.3 919.9 925.1 1,541 Other Accumulated Earnings -153.6 -110.9 -116.6 -79.9 -472.0 -455.6 Retained Earnings 2,160.5 2,191.6 2,331.0 2,561.5 2,895.6 3,727.2 Minority Interest 262.7 278.5 490.4 519.2 649.3 652.2 Total Shareholders’ Equity 3,237.6 3,341.7 3,695.5 3,993.1 4,070.5 5,546.7 32 VI. Appendix 3) Financial Statement

3-(4). Summary of Balance Sheet (including CJ Logistics)

(Unit: W bn) 2013 2014 2015 2016 2017 2018 Current Assets 3,705.0 3,973.3 4,018.5 4,880.7 4,963.5 5,522.4 Quick Assets 2,698.3 2,907.7 2,920.9 3,600.5 3,660.0 4,024.8 Inventory 1,006.7 1,065.6 1,097.6 1,280.2 1,303.5 1,497.6 Non-Current Assets 9,299.5 9,409.2 9,732.8 10,885.5 11,904.7 13,974.6 Investments 1,062.9 1,087.6 1,135.8 1,096.2 716.1 897.5 Tangible Assets 6,254.5 6,383.9 6,690.2 7,280.5 8,179.4 9,741.7 Intangible Assets 1,764.0 1,750.9 1,737.3 2,333.8 2,758.1 3,069.9 Other Fixed Assets 218.1 186.8 169.5 175.0 251.1 265.5 Total Assets 13,004.5 13,382.5 13,751.3 15,766.2 16,868.2 19,497.0 Current Liabilities 3,708.9 4,122.4 4,335.7 4,699.2 5,496.9 6,680.4 Non-Current Liabilities 4,483.0 4,310.2 4,030.4 5,006.5 5,227.4 5,508.4 Total Debt 5,772.0 5,857.4 5,670.7 6,563.2 7,087.4 7,888.0 Net Debt 5,242.5 5,269.5 4,975.5 5,739.2 6,396.9 7,267.9 Liability to Equity Ratio 170% 170% 155% 160% 175% 167% Net Liability to Equity Ratio 159% 158% 142% 147% 163% 158% Net Debt to Equity Ratio 109% 106% 92% 95% 104% 99% Total Liabilities 8,191.9 8,432.6 8,366.1 9,705.7 10,724.3 12,188.8 Current Capital 72.1 72.3 72.4 72.4 72.5 81.9 Capital Surplus 895.9 910.2 918.3 919.9 925.1 1,541 Other Accumulated Earnings -227.3 -184.8 -181.9 -149.4 -526.1 -534.3 Retained Earnings 2,143.1 2,187.2 2,334.2 2,566.5 2,903.5 3,694.3 Minority Interest 1,928.8 1,965.0 2,242.2 2,651.1 2,768.9 2,525.3 Total Shareholders’ Equity 4,812.6 4,949.9 5,385.2 6,060.5 6,143.9 7,308.2 33 VI. Appendix 3) Financial Statement 3-(5). Earnings results by division(excluding CJ Logistics) (Unit: W bn)

1Q17 2Q17 3Q17 4Q17 2017 1Q18 2Q18 3Q18 4Q18 2018 CJCJ Sales 2,399.5 2,327.0 2,674.6 2,484.1 9,885.2 2,512.2 2,367.5 2,745.1 2,650.5 10,275.3 Gross Profit 685.7 627.2 787.8 700.3 2,801.0 746.3 631.3 780.7 591.5 2,749.8 Exl. CJL Inc. Operating Profit 144.2 104.1 210.2 97.8 556.3 170.7 131.2 211.1 104.2 617.2 CJHC EBITDA 239.5 196.8 313.3 196.7 946.3 275.6 234.2 315.2 220.7 1,045.7 Sales 1,320.3 1,176.4 1,439.5 1,154.6 5,090.8 1,316.2 1,229.2 1,456.4 1,270.0 5,271.8 Food Gross Profit 423.8 371.3 501.6 370.2 1,666.9 430.4 365.9 483.4 351.3 1,631.0 Div. Operating Profit 99.6 68.5 166.5 28.1 362.7 116.8 68.6 139.2 32.9 357.5 EBITDA 146.8 112.6 219.5 76.2 555.1 166.2 117.3 190.8 88.6 562.9 Sales 956.2 1,018.9 1,099.8 1,205.8 4,280.7 1,081.4 1,138.3 1,288.7 1,380.5 4,888.9 Gross Profit 191.3 181.2 209.9 264.8 847.2 253.0 265.4 297.3 240.2 1,055.9 Operating Profit 26.5 17.7 24.1 43.9 112.2 41.9 62.6 71.9 71.3 247.7 EBITDA 70.1 61.5 69.6 89.6 290.8 92.6 116.9 124.4 132.1 466.0 Sales 454.5 472.3 571.4 669.7 2,167.9 592.0 614.1 735.7 773.9 2,715.7 B Bio Gross Profit 135.4 125.9 152.1 200.2 613.6 196.0 181.8 213.7 142.1 733.6 I Div. O Operating Profit 29.9 24.0 30.5 52.2 136.6 48.4 44.9 54.4 46.4 194.1 EBITDA 65.4 59.2 67.6 88.3 280.5 86.8 84.0 93.2 90.3 354.3 Sales 501.7 546.6 528.4 536.1 2,112.8 489.4 524.2 553 606.6 2,173.2 Feed Gross Profit 55.9 55.3 57.8 64.6 233.6 57.0 83.6 83.6 98.1 322.3 & Livestock Operating Profit -3.4 -6.3 -6.4 -8.3 -24.4 -6.5 17.7 17.5 24.9 53.6 EBITDA 4.7 2.3 2.0 1.3 10.3 5.8 32.9 31.2 41.8 111.7 Sales 123.0 131.7 135.3 123.7 513.7 114.6 114.6 Gross Profit 70.6 74.7 76.3 65.3 286.9 62.9 62.9 CJHC Operating Profit 18.1 17.9 19.6 25.8 81.4 12.0 12.0 EBITDA 22.6 22.7 24.2 30.9 100.4 16.8 16.8 ※ Above earnings by division reflects the changes due to organization changes 34 Investor Relations Tel: +82-2-6740-3145, 2955, 3146, 3150, 2931 E-mail: [email protected] www.cj.co.kr